A handful of mid‑cap names were volatile: Tube Investments of India and Redington slumped around 5–10 %, while Westlife Foodworld, Sapphire Foods and Jubilant FoodWorks rallied after posting strong results. Metals stocks such as Hindustan Copper, Vedanta and National Aluminium witnessed heavy selling amid falling global metal prices.
What moved the market
Profit‑booking after a rally: Both the Nifty 50 and Sensex had risen for three consecutive sessions. Traders locked in profits as valuations approached resistance levels.
Weak global cues: Asian markets, including Japan’s Nikkei (−0.9 %), Korea’s Kospi (−3.9 %), China’s Shanghai Composite (−0.6 %) and Taiwan’s Taiex (−1.2 %), were mostly lower after a sell‑off in U.S. technology stocks. European indices opened weak as investors awaited key central‑bank meetings.
Sector rotation: Metals and IT stocks dragged the indices. Falling commodity prices led to heavy selling in metal names, while IT stocks extended declines amid concerns of softer global tech spending. PSU banks were resilient, gaining slightly after outperforming over the past week.
Macro‑policy overhang: The Reserve Bank of India’s Monetary Policy Committee meeting (decision due 6 Feb) kept traders cautious. Expectations of a status‑quo policy but hawkish commentary influenced positions in financials.
US–India trade deal optimism waning: Earlier enthusiasm following progress on the US–India trade deal faded as investors reassessed near‑term benefits, contributing to the pullback.
Global cues
U.S. markets: The Dow Jones Industrial Average rose ~0.5 %, while the S&P 500 slipped ~0.5 % and Nasdaq Composite dropped ~1.5 % the previous night, reflecting mixed earnings and weakness in major technology stocks.
European/Asian markets: FTSE 100 (−0.33 %), DAX (−0.32 %), CAC 40 (+0.21 %), Hang Seng (+0.14 %), Nikkei 225 (−0.88 %), Kospi (−3.86 %) showed a cautious tone.
Commodities: Declines in crude oil and industrial metals signalled expectations of softer global growth, pressuring cyclical sectors.
Stocks to watch
Stock
Why it’s on watch
Marico
Signed a deal to acquire a 60 % stake in Cosmix Wellness for ₹225.67 cr, expanding its presence in functional wellness.
Power Grid Corporation of India
Receives regulatory approval to amalgamate 17 subsidiaries into two existing subsidiaries, streamlining operations.
Trent
Reported strong Q3 results with revenue up 14.8 % and EBITDA up 27.6 %; the stock was among the day’s top gainers.
Tata Power
Posted a marginal 0.6 % rise in Q3 profit to ₹1,194.3 cr even as revenue slipped 9.4 %; investors will gauge the impact of falling power demand.
NHPC
Cancelled its JV with Green Energy Development Corporation of Odisha for solar projects, signalling a shift in its renewable strategy.
Ambuja Cements
Announced a UAE roadshow (12–13 Feb) to engage investors following the Adani group’s corporate restructuring.
Adani Enterprises
Converted ~137.8 million partly paid‑up shares to 75 % paid‑up status, boosting liquidity ahead of its rights issue.
Indian Oil Corporation (IOC)
Reported Q3 profit of ₹12,126 cr, up over 4× YoY, aided by strong refining margins; shares touched a 52‑week high.
Hindustan Copper
Posted Q3 profit of ₹156 cr (versus ₹63 cr YoY) but the stock slipped due to the broader sell‑off in metal stocks.
Dredging Corp
Shares fell ~10 % after reporting a second consecutive quarterly loss, highlighting weakness in port‑services demand.
Technical view and levels for 6 February 2026
Nifty 50: The index is consolidating between 25,700 (immediate support) and 25,818 (primary resistance). A break above 25,852 could extend the rally towards 25,936–26,000. On the downside, supports lie at 25,641 (day’s close), 25,581 and 25,500.
Bank Nifty: Immediate resistance is at 60,400; further hurdles are seen at 60,595 and 60,735. Supports lie at 59,893–59,793 (recent lows) and deeper near 59,612 and 59,500.
Sensex: The benchmark needs to reclaim 84,000 to signal fresh upside. Resistance levels are at 84,278 and 84,500. Support levels are near 83,000 and 82,800.
Tone for the next session: With the RBI policy decision imminent and global markets cautious, a range‑bound, volatile session is expected. Traders should watch the 25,600–25,850 range on the Nifty; a decisive move beyond this band could set the near‑term direction. Metals and IT may continue to underperform, while stock‑specific action could be seen in PSU banks and consumer staples.
Outlook for tomorrow (6 February 2026)
The market is likely to open on a cautious note ahead of the RBI Monetary Policy Committee outcome. Global markets remain mixed, and commodity prices show little support for cyclical sectors. Investors should brace for intraday volatility, with risk‑averse sentiment likely to persist. Any surprise in the policy stance or commentary could influence banking and rate‑sensitive sectors. Overall, the tone is expected to remain range‑bound with a negative bias, emphasising stock‑specific trades and strict risk management.
